Stocks on Verge of Ideal Buy-The-Dip as S&P 500 Braces for August Plunge, Fundstrat Reports

The August sell-off in stocks has created a perfect opportunity for investors to buy the dip before the market resumes its rally, according to Fundstrat’s head of research, Tom Lee. While Lee warns that more downside could be expected in the near term, he remains bullish on the overall market outlook and predicts a record high for the benchmark index in 2023. The recent sell-off was driven by a weakening Chinese economy and rising bond yields due to stronger-than-expected US economic growth. However, Lee believes that these factors will not derail the market’s upward trajectory in the long term.